The Nigerian Exchange Group (NGX Group) has outlined a roadmap for integrating digital assets into Nigeria’s financial system, stressing that capital market development must be anchored on strong regulation and risk discipline.
NGX Group Chairman, Dr. Umaru Kwairanga, said capital should not lead to excessive risk-taking, noting that innovation must be balanced with safeguards to ensure long-term market stability.
He made this known at the 2026 Investment Advisers and Portfolio Managers’ Conference in Lagos, where he emphasised the need to align emerging technologies with robust governance frameworks.
What he is saying
Kwairanga said the responsible adoption of digital assets will play a critical role in shaping a resilient financial ecosystem.
- “We remain actively engaged with stakeholders to ensure that innovation, including emerging asset classes, is integrated responsibly within a well-regulated framework,” he stated.
He noted that digital assets are transforming traditional financial systems by creating new opportunities for capital formation and financial inclusion.
However, he warned that growth in the sector must be guided by clear regulatory safeguards to prevent systemic risks.
He added that the future of Nigeria’s capital market depends on achieving a careful balance between regulatory clarity and strong ethical standards among market operators.
Get up to speed
The call comes amid growing demand for clearer regulation of digital assets in Nigeria.
Earlier this year, fintech operators urged the Central Bank of Nigeria (CBN) to define permissible cryptocurrency-related activities for licensed institutions.
Stakeholders identified regulatory uncertainty as a major constraint limiting innovation, investment, and institutional participation in the crypto ecosystem.
According to the CBN Fintech Report, digital assets have strong potential to enhance cross-border payments, deepen financial inclusion, and unlock new markets.
Despite this potential, ambiguity in the regulatory environment continues to slow adoption and development.
More insights
Kwairanga highlighted NGX’s efforts to modernise market infrastructure as part of its broader strategy.
He cited NGX Invest as a key innovation that has digitised primary market offerings, replacing paper-based processes with a seamless digital platform.
The platform has improved accessibility and expanded investor participation across the market.
He described investment advisers and portfolio managers as “custodians of capital” whose role is critical in maintaining market integrity.
He called for stronger collaboration among regulators, operators, and market participants to ensure the financial system remains both innovative and resilient.
What you should know
Regulators are already tightening oversight of the digital asset space in Nigeria.
In January, the Securities and Exchange Commission (SEC) introduced a minimum capital requirement of N2 billion for cryptocurrency exchanges.
A compliance deadline of June 30, 2027, has been set for affected firms to meet the new requirements.
The move effectively brings previously unregulated digital asset firms under formal regulatory supervision.
The evolving regulatory framework signals Nigeria’s intention to support digital innovation while safeguarding the stability of its financial system.
